Investor takes the plunge with Sunshine Coast hotel
A DIVERSIFIED Queensland-based investment group has acquired a Sunshine Coast hotel despite strong interest in the asset from offshore buyers.
Centro Group of Companies has bought the Best Western Plus Lake Kawana Hotel in Birtinya after an expressions of interest campaign on behalf of the vendor Triple B Motels.
Centro director Michael Carr said the hotel will be added to the group's growing accommodation portfolio.
"We are also excited to announce that there will be a rebranding of the hotel to an international brand," he said.
The 4.5-star hotel opened in November 2015 and has 81 suites, a licensed restaurant and bar Wildfire and two adjoining function rooms.
It is 20 minutes from Sunshine Coast Airport and close to a range of major demand drivers and attractions.
CBRE Hotels' Paul Fraser, who struck the deal with Ward Commercial Hotels' Peter Ward, said the campaign generated strong interest.
"We had interest from local and overseas investors, especially from Asian buyers keen to gain a foothold in the tightly held southeast Queensland market," he said.
"Unlike most other accommodation stock on the Sunshine Coast, this asset is targeted at the corporate market, which has helped differentiate it from its surrounding competitors."
Mr Fraser refused to comment on the sale price but industry sources believe the hotel would have sold for around $15 million.
The Sunshine Coast has had the benefit of rising tourism market and record infrastructure spend over the past couple of years.
Mr Ward said more than $10 billion has been committed to investment in the Sunshine Coast region from both the public and private sectors.
"This includes the new $305 million runway project at Sunshine Coast Airport, which is scheduled for completion by the end of 2020 and is expected to further spur business travel to the area," he said.